I’m curious what an Oil and Gas Mortgage tells one about the value of mineral rights and potential plans for drilling.
Grayton just recorded an Oil and Gas Mortgage on mineral rights on a couple of parcels near mine. They have 7.6 net mineral acres in one and 19.75 in the other. They got a mortgage of $700,000. This works out to about $25k per acre. I’ve been tracking mineral sales in the area for almost a year and they generally run between $4k and $6k per acre. The mortgage is in Custer County, OK in 12-13n-15w and 11-12n-15w.